Remove Business Model Remove Mezzanine Remove Operations Remove Revenue
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Flexible VCs With Structures Between Equity and Revenue-Based Investing

David Teten

This essay is part of a series on alternative VC: I: Revenue-Based Investing: a new option for founders who care about control. II: Who are the major Revenue-Based Investing VCs? III: Why are Revenue-Based VCs investing in so many women and underrepresented founders? IV: Should your new VC fund use Revenue-Based Investing?

Equity 78
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Flexible VC, a New Model for Companies Targeting Profitability

David Teten

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Of the Inc. 5000 companies, only 6.5% raised from angels.

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On Bubbles … And Why We’ll Be Just Fine

Both Sides of the Table

Ah, but today’s Internet companies have real revenue! And this is happening in mezzanine (pre-IPO) deals as well. Those with strong business models suddenly stand out when the tide goes out. I said that at the Founder Showcase, too. and profits! Sure, that makes them better companies than those of 12 years ago.

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The 5 Key Stages of Equity Funding

Growthink Blog

Mezzanine Financing Most companies that raise equity capital and are eventually acquired or go public receive multiple rounds of financing first. Nevertheless, this is when you get the startup money to kickstart your business with the bare essentials needed to begin making and fulfilling your first sales. Pre-Seed Funding 2.

Equity 88
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Changes in Software & Venture Capital – Part 2 of 3

Both Sides of the Table

Open cloud led by Amazon with their AWS services drove total operating costs down by 90%. As some of the last generation of startups have gotten bigger many VCs have also chased later-stage investments that were traditionally dominated by growth equity or mezzanine funds. This led to an explosion in startups.

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Think Your Start-up Is Venture Worthy? Think Again.

techcrunch.com

Researchers polled experts in lending, mezzanine capital, private equity, venture capital and private businesses themselves. Researchers divided the portfolio companies into six stages and startups are still operating a loss in each of the first four. A lot of the stats weren’t surprising. Add to this that 72.7% just my 2 cents.